Tenant/Condominium Owners

Transcription

1 Home Auto Business Agricultural Good to know Tenant/Condominium Owners Policy booklet TC-22 01/2013 Saskatchewan

2 Table of Contents Tenant & Condominium Unit Owner s Pak... 1 Part 1 Your Belongings... 2 Perils Insured Cover Code A... 2 Perils Insured Cover Code B... 3 Perils Insured Cover Code C... 4 Added Features of Your Part 1 Coverage... 5 Arson Conviction Reward... 5 Automatic Acquisitions... 5 Belongings of Guests and Employees... 5 Credit, Debit, or Electronic Funds Transfer Cards, Cheques and Counterfeit Money Coverage... 6 Debris Removal... 6 Declaration of Emergency Endorsement... 6 Emergency Entry Property Damage... 7 Fraud Conviction Reward... 7 Increased Living Expenses and Lost Rental Income... 7 Inflation Protection Factor... 8 Mass Evacuation... 8 Outdoor Trees, Shrubs, and Plants... 8 Property Protection Coverage... 8 Temperature Change... 9 Theft Damage to Premises... 9 Additional Coverage for Condominium Unit Owners... 9 Automatic Residence Coverage... 9 Contingent Coverage... 9 Estate Coverage... 9 Improvements and Betterments... 9 Lock Replacement Coverage Loss Assessment for Loss to Condominium Property Single Amount of Protection Tear Out Unit Owner s Glass Coverage Condominiums Additional Coverage for Tenants...11 Improvements and Betterments...11 Renter s Glass Coverage Tenants...11 Optional Coverages...11 Voluntary Fire Fighting Coverage...11 Identity Theft Coverage...11 Increased Limits Coverage Sewer Backup Settling a Claim Deductible Replacement Cost and Actual Cash Value Belongings Pairs and Sets Obsolescence Property with Specific Amounts of Protection Property and Causes of Loss We Do Not Cover General Conditions for Part Part 2 Personal Liability Definitions Applicable to Part Personal Liability Amount of Protection i

3 Bodily Injury and Property Damage Tenants and Renters Added Features of Your Part 2 Personal Liability Coverage Voluntary Medical Payments Voluntary Property Damage Payments Loss Assessment for Liability Condominium Unit Owners Optional Extensions All Terrain Vehicle Liability Coverage Passenger Hazard Option Under Age Operator Option Claims We Will Not Cover Jet Propulsion Personal Watercraft Liability Coverage Passenger Hazard Option Claims We Will Not Cover Claims We Will Not Cover This applies to all coverages in Part 2 Personal Liability If You Have A Claim What You Must Do If You Have A Claim What We Will Do Defense Settlement Supplementary Payments How We Settle A Claim General Conditions for Part Statutory Conditions ii

4 Tenant & Condominium Unit Owner s Pak Your Tenant or Condominium Unit Owner s Pak policy is made up of a Cover Page and this booklet. This booklet explains a number of coverages. Your Cover Page shows which Pak you have, what we agree to insure, the coverage we provide, and the amount of protection. It also shows the premium you have agreed to pay. All amounts of protection are shown and all losses are payable in Canadian dollars. This policy booklet is in two parts: Part 1 Your Belongings explains coverage for property you own or use. Part 2 Personal Liability explains coverage for your liability due to your personal actions that involve bodily injury or property damage to someone else. When we say you or your in explaining this policy, we mean the person(s) named on your Cover Page and the following unnamed persons living in the same household: the spouse of the person(s) named on the Cover Page. Spouse also means either of two persons of the same or opposite sex who have been continuously living together for two years in a conjugal relationship outside marriage, or one year if they are the natural or adoptive parents of a child. the relatives of any of the above. any spouse, mother, father, grandmother, grandfather or child of the person(s) named on the Cover Page, while residing away from your premises in an approved nursing or care home. anyone in the care of any of the above. unmarried students while attending school and residing away from your premises. All claims will be settled directly with the person(s) named on your Cover Page. Only the person(s) named on your Cover Page may make a claim against this policy and may take action against us. Claims presented for loss or damage by any person(s) as defined above, shall be considered to be made by all named or unnamed insured person(s) jointly. Action(s) of any person either individually or jointly shall be considered action(s) by all for the purpose of investigation and settlement of losses. When we say we, us or our, we mean SGI CANADA. When we say premises in this policy we mean the following: for Condominium Unit Owners Your dwelling unit at the location shown on your Cover Page including garages, parking stalls, outbuildings, storage rooms or lockers, and private approaches reserved for your exclusive use and occupancy as a private residence. for Tenants The dwelling building or portion of the dwelling building at the location shown on your Cover Page and its private approaches rented by you for your use and occupancy as a private residence, including garages, parking stalls, storage rooms or lockers, and outbuildings. The key to your policy is its Cover Page. It shows the type and amount of your coverage. It gives the location of property you are insuring. It describes certain types of property you are insuring. Your coverage starts at the time and date shown on the Cover Page as the Effective Date. It ends at 12:01 A.M. standard time on the Expiry Date. The Cover Page shows both of these dates. This is your policy term. This policy contains various exclusions and limitations which eliminate or restrict coverage, please read it carefully. Insurance cannot be a source of profit. It is only designed to indemnify you against actual losses or expenses incurred by you or for which you are liable. 1

5 Part 1 Your Belongings Means personal property that you own or use, kept at your premises. Coverage is extended to include the following: belongings that are away from your premises temporarily, other than belongings in storage. Belongings in storage shall mean belongings not in current use and kept at a location away from your premises. belongings in storage in an occupied private dwelling. belongings in storage in a commercial storage facility designed for that purpose. belongings in storage away from your premises for up to 30 consecutive days, if stored other than in an occupied private dwelling or commercial storage facility designed for that purpose. We will extend this 30 day coverage if you tell us of placing your belongings into storage and this is shown on your Cover Page. This will involve an extra premium charge. furs, boats, their equipment, accessories, outboard motors, and jet propulsion personal watercraft, including unlicensed boat trailers during seasonal storage away from your premises. golf carts kept year round at a golf course. belongings while you move them to a new principal residence in Canada. This coverage lasts for 30 days from the day you start the move and covers: at your premises shown on your Cover Page. in transit. at your new premises. There are some limits on the kinds of belongings and property we will cover and the amounts blanket coverage will pay. These are shown in Property with Specific Amounts of Protection and Property and Causes of Loss We Do Not Cover. Any belongings we cover as special belongings or which are specifically insured elsewhere are not covered here. Perils Insured Cover Code A We cover belongings under Pak A for direct physical loss or damage caused by the following 10 perils: 1) Fire or Lightning. 2) Explosion or Implosion. 3) Smoke. By this we mean damage due to sudden and unusual failure of a heating or cooking unit in or on the premises. This could include things such as a furnace, stove or fireplace. 4) Falling Objects that hit the outside of an insured building or structure. 5) Impact by Aircraft, Spacecraft or Land Vehicles. 6) Riot. 7) Vandalism or Malicious Acts. We do not cover loss or damage: directly or indirectly caused by theft or attempted theft. while your premises is under construction or vacant. caused by you or anyone living in your household. caused by any tenant, tenant s guests, tenant s employees, or members of their household. 2

6 8) Water Escape and Rupture. If you are away from your premises for more than ten consecutive days during the normal heating season, you must do one of three things. You must shut off the water supply and drain all pipes, attached fixtures, and appliances, or arrange to have a reliable person come in daily to check the heating, or have your premises electronically monitored 24 hours per day by a company that monitors and responds to a low temperature signal. If you do not, we will not cover loss or damage caused by freezing, or resulting water damage. We do not cover loss or damage caused by freezing to any part of a plumbing, heating, fire sprinkler or air conditioning system or household appliance not in a heated building or any resulting water damage. We do not cover loss or damage to your premises or belongings, if your premises have been vacant for more than 30 consecutive days or while your premises are under construction. Water Escape. Means accidental discharge or overflow of water or steam from a plumbing, heating, fire sprinkler, or air conditioning system, household appliance, aquarium, waterbed, a swimming pool or hot tub or their attached equipment, or a public watermain. We do not cover loss or damage caused: by seepage, or continuous or repeated leakage. by backup, discharge or escape or overflow of water or sewage from a sewer, sump, septic tank, or eavestrough or downspout connected to your sewer. Rupture. Means damage to a plumbing, heating, fire sprinkler, or air conditioning system within your premises caused by sudden and accidental bursting, tearing apart, cracking, burning, or bulging of the system, due to the pressure of or lack of water or steam. We do not cover loss or damage caused by rust, corrosion, or deterioration. 9) Windstorm or Hail. The interior of a building and belongings inside are also covered, but only if the damage happens immediately after wind or hail first makes an opening in the building. This peril does not cover loss or damage caused by waves, flood, high water, ice, rain, snow or sleet, whether driven by wind or not. 10) Electricity. Means sudden and accidental loss or damage caused by artificially generated electrical current. There are other causes of loss we will not cover under this policy. These are shown under Property and Causes of Loss We Do Not Cover. Perils Insured Cover Code B We cover belongings under a Pak I for direct physical loss or damage caused by the perils as defined and limited in Cover Code A plus the following named perils: 11) Theft, including damage caused by Attempted Theft. We do not cover the following: property on your premises while your premises are vacant or under construction. property from that part of your premises rented by you to others caused by any tenant, tenant s guests, tenant s employees, or members of their household. loss or damage caused by you or anyone living in your household. 12) Transportation. We cover loss or damage to belongings and building fixtures and fittings while they are being transported if caused by an accident to the transporting vehicle. There are other causes of loss we will not cover under this policy. These are shown under Property and Causes of Loss We Do Not Cover. 3

7 Perils Insured Cover Code C We cover belongings under a Pak II for direct physical loss or damage caused by comprehensive perils. Comprehensive Perils. Shown below are some perils or causes of loss that we exclude. If these are the cause of loss or damage, we do not cover such loss. If the peril that causes loss or damage is not one of the perils shown below, then you are covered. We do not cover loss or damage: a) caused by flood, surface water, waves, tidal waves, overflow of streams or other bodies of water, spray, ice, or waterborne objects, whether any of the former are driven by wind or not. But we will cover if it was due to a sudden and unexpected escape of water from a swimming pool or its attached equipment, fire fighting activities, or a public watermain. b) caused by water below ground level including that which exerts pressure on or flows, seeps or leaks through any opening in a sidewalk, driveway, foundation, wall, window, door or floor. But we will cover if it was due to a sudden and unexpected escape of water from a swimming pool or its attached equipment, fire fighting activities, or a public watermain. c) due to theft or attempted theft, vandalism or malicious acts caused by: i) any tenant, tenant s guests, or tenant s employees, or members of their household. ii) you or anyone living in your household. d) due to theft or attempted theft, vandalism or malicious acts while your premises are vacant or under construction. e) caused by escape of water or steam from a plumbing, heating, fire sprinkler or air conditioning system, household appliance, swimming pool or hot tub or their attached equipment, or public watermain occurring after your premises have been vacant for more than 30 consecutive days or while your premises are under construction. f) caused by sudden and accidental bursting, tearing apart, cracking, burning, or bulging due to the pressure of or lack of water or steam in a plumbing, heating, fire sprinkler or air conditioning system, or an appliance for heating water occurring after your premises have been vacant for more than 30 consecutive days or while your premises are under construction. g) caused by freezing or resulting water escape from a plumbing, heating, fire sprinkler or air conditioning system, or household appliance during the normal heating season and you are away from your premises for more than ten consecutive days. In order to have this coverage, you must do one of three things. You must shut off the water supply and drain all pipes, attached fixtures, and appliances, or arrange to have a reliable person come in daily to check the heating, or have your premises electronically monitored 24 hours per day by a company that monitors and responds to a low temperature signal. But we will not cover loss or damage if your premises have been vacant for more than 30 consecutive days or while your premises are under construction. h) caused by seepage or continuous or repeated leakage of water or steam from a plumbing, heating, fire sprinkler or air conditioning system, household appliance, a swimming pool or hot tub or their attached equipment, or a public watermain. i) to an outdoor swimming pool or hot tub and the attached equipment of either, any part of a plumbing, heating, fire sprinkler or air conditioning system, or household appliance not in a heated building or a public watermain caused by rupture or freezing. j) caused by dampness of atmosphere, extremes of temperature, condensation, wet or dry rot, mould, contamination, inherent vice, unknown flaw and defect or mechanical breakdown. k) caused by vermin including skunks, rodents, raccoons, moths, insects, and domesticated animals including birds. 4

8 l) caused by wear and tear, rust, corrosion, or deterioration. m) caused by smoke from agricultural or industrial operations. n) to sporting equipment due to the use of it. o) to contact lenses unless the loss or damage is caused by a Listed Peril, theft or attempted theft. p) due to marring or scratching of any property or breakage of any fragile or brittle article unless caused by a Listed Peril, theft or attempted theft. q) caused by accidental discharge or seepage or continuous or repeated leakage of sewage or water from a sewer, sump, septic tank or eavestrough or downspout connected to a sewer. We do not cover loss or damage caused by backup, discharge or escape or overflow of water or sewage from public sewers or drains outside your dwelling. We do not cover the following three things if they happen at the same time as an excluded peril or cause of loss above or elsewhere in this policy or contribute with an excluded peril or cause of loss to produce a loss: weather conditions. acts or decisions of any person, civic authorities, or government authorities. faulty, inadequate, or defective planning, design, material, construction, or maintenance of public utilities or public structures. The Listed Perils referred to previously are fire, lightning, explosion or implosion, smoke, falling objects, impact by aircraft, spacecraft or land vehicles, riot, vandalism or malicious acts, water escape, rupture, windstorm or hail, electricity and transportation; all as defined under Perils Insured. There are other causes of loss we will not cover under this policy. These are shown under Property and Causes of Loss We Do Not Cover. Added Features of Your Part 1 Coverage We give you some added features along with your regular coverage at no extra cost. These may be special types of coverage available to you or they may be special uses of your regular coverage. We have noted those features that add to your total amount of protection. Otherwise, they are part of the amount of protection shown on your Cover Page. Arson Conviction Reward We will pay $1,000 for information which leads to a conviction for arson in connection with a fire loss to property insured by this policy. The amount we pay adds to your total amount of protection. The $1,000 limit will not be increased regardless of the number of persons providing information. No deductible applies to this coverage. Automatic Acquisitions Any insurable belongings you acquire after the effective date of this policy are automatically covered subject to the terms of this policy. This includes items you purchase while away on vacation. Belongings of Guests and Employees You may use up to 10% of your belongings protection for belongings of your household employees or non-paying guests. These belongings must be at your premises or in the care of household employees carrying out duties of their employment away from your premises. Loss must be due to a peril for which your own belongings are insured. Your guests or household employees must not have any coverage on their belongings. All claims will be settled directly with you. 5

9 Credit, Debit, or Electronic Funds Transfer Cards, Cheques and Counterfeit Money Coverage This coverage adds to your total amount of protection. There is no deductible. The loss must take place during the policy term; but you are covered even if you do not discover the loss for up to a year after the policy term ends. We will pay up to $1,000 for any one loss and a total amount of $2,500 in all, for losses in any one policy term, even if the losses involve more than one card, cheque, forgery, law suit, or piece of counterfeit money, or involve multiple purchases, transactions, or occurrences. We will pay up to the limits provided for the following situations: 1) When someone else misuses your lost or stolen credit or debit card(s), or makes unauthorized cash withdrawals or transactions that result in a loss through an automated teller machine or other similar device. Misuse is covered for up to seven days after you discover the card(s) missing or stolen. You must immediately contact the company that issued the card(s) and comply with all the terms of your contract with them. However, we will not pay for any loss if you allow others to find out your personal identification number (P.I.N.), or if you do not keep your P.I.N. and card completely separate to prevent losing both at the same time. Keeping these in different compartments of the same object, such as your wallet, handbag, dresser, or vehicle shall not be considered as being kept separate. 2) When someone else alters or forges your cheque, draft, or promissory note. We will also pay if you write a cheque to a person who does not exist or who pretends that they are someone else, but you must be deliberately tricked into doing it. 3) When you are sued for the payment of a credit card charge or cheque that has been forged or altered. We will pay for your reasonable legal expenses. You must have our permission to defend yourself against the suit. 4) When you accept counterfeit Canadian or U.S. money thinking that it is real. Debris Removal You may have us pay to remove debris of insured property from your premises, if your insured property has been damaged or destroyed by an insured peril. We will also pay for removal of property of others, excluding trees, shrubs and plants, blown on to your premises by windstorm, if your insured property is damaged or destroyed by an insured peril. Debris removal expenses shall not be considered for the purpose of applying any co-insurance. Declaration of Emergency Endorsement (Extension of Termination or Expiry Date) The effective date of termination of this policy by the Insurer or the expiry date of this policy is extended, subject to the conditions and definitions set out below, as follows when an Emergency is declared by a Canadian public authority designated by statute for the purpose of issuing such an order. 1. The Emergency must have a direct effect or impact on: a) The Insured, the insured site or insured property located in the declared emergency area; or b) The operations of the Insurer or its agent/broker located in the declared emergency area. 2. a) Any time limitation described in the Termination condition of this policy, with respect to termination of this policy by the Insurer, will not continue to run until the Emergency is terminated plus the lesser of: i) 30 days; or 6

10 ii) the number of days equal to the total time the Emergency order was in effect. b) If this policy is due to expire during an Emergency, it will continue in force until the Emergency is terminated plus the lesser of: i) 30 days; or ii) the number of days equal to the total time the Emergency order was in effect. 3. In no event shall the total term of the extension exceed 120 consecutive days. The Insured agrees to pay the pro rata premium earned for the additional time the Insurer remains on risk as a result of the above. 4. Definitions: Emergency is defined as the first statutory declaration of an emergency: a) with respect to a situation or an impending situation that constitutes a danger of major proportions that could result in serious harm to persons or substantial damage to property and that is caused by the forces of nature, a disease or other health risk, an accident or an act whether intentional or otherwise; or b) as provided for by the relevant governing legislation if different from a) but does not include any subsequent statutory declaration(s) that may be issued relating to the same event. All other terms and conditions of the Policy to which this endorsement applies remain unchanged. Emergency Entry Property Damage Coverage is automatically provided to repair damage to your premises (permanent or temporary residence) if damaged as a result of forcible entry by police, ambulance, fire department, or other persons to save and preserve life. The policy deductible does not apply to this coverage. Fraud Conviction Reward We will pay $1,000 for information which leads to a conviction of fraud in connection with an insured loss to property covered by this policy. The amount we pay adds to your total amount of protection. The $1,000 limit will not be increased regardless of the number of persons providing information. No deductible applies to this coverage. Increased Living Expenses and Lost Rental Income You may use up to 20% of the amount of protection shown on your Cover Page for belongings if you are a Tenant or 100% of the amount of protection shown on your belongings if you are a Condominium Unit Owner to pay for an increase in your living expenses and loss of rental income. The costs must be due to a peril for which your belongings are insured. The length of time we will continue to make payments is not restricted by the expiry of your policy. The amount we pay adds to your total amount of protection. We will pay for: 1. Increased Living Expenses. If the loss makes your premises unliveable, we will pay for your moving costs. We will pay for the reasonable increase in your cost of living required to maintain your normal standard of living. We will not pay expenses for things that are not needed to support you. We will continue to pay only until your premises are fixed or replaced, or you permanently relocate. We will give you a reasonable time for either of those to be done. 2. Lost Rental Income. We will pay for your actual loss of rental income for those parts of your premises that you were renting out when the loss took place. We will pay for the fair rental value of this property even if it was not rented out when the loss took place. You must show 7

11 us that you were trying and able to rent it out at the time. We will pay until you have had a reasonable length of time to fix your premises. We will deduct any savings in expenses, such as electric and water bills, which stop because of the loss. We will not pay for any increased costs, due to unnecessary delays on your part, to fix or replace your premises, relocate, or settle your household. We will also pay when a public authority denies you access to your premises. We will pay these costs for up to two weeks. The denial can be due to actual or threatened damage to your premises. But it must be due to a peril for which your premises is insured. If you have a Pak II, it must be due to a Listed Peril. Inflation Protection Factor To help protect you in the event of a loss, we will raise the total amount of protection on your belongings by a portion of the Inflation Protection Factor (IPF) percentage (as shown on the Cover Page) as follows: 2 months after inception 25% of the IPF 5 months after inception 50% of the IPF 8 months after inception 75% of the IPF 11 months after inception 100% of the IPF Inception means the effective date of the policy or, if the policy has been in force for more than one year, its last anniversary date. If you request a change in the amount of insurance during the policy term, the effective date of that change will be the inception until the next policy anniversary date. This added feature does not apply to vacant condominium units. Mass Evacuation You may use up to 20% of the amount of protection shown on your Cover Page for your belongings to pay for increased living expenses when a public authority denies you access to your premises because of a mass evacuation order due to a sudden or unexpected event. We will pay these costs for up to two weeks. The amount we pay adds to your total amount of protection. We will not pay costs due to: a) flood meaning waves, tides, tidal waves and the rising of, the breaking out or the overflow of, any body of water, whether natural or man-made; b) earthquake; c) war, invasion, act of foreign enemy, hostilities (whether war be declared or not), civil war, rebellion, revolution, insurrection or military power; d) any nuclear incident as defined in the Nuclear Liability Act, nuclear explosion or contamination by radioactive material. Outdoor Trees, Shrubs, and Plants You may use up to 5% of the amount of protection shown on your belongings to pay for loss or damage to trees, shrubs, plants, and lawns. Loss must be due to one of these seven causes: 1) Fire. 2) Lightning. 3) Explosion or Implosion. 4) Riot. 5) Impact by aircraft, spacecraft or land vehicles. 6) Vandalism. 7) Malicious Acts. We will pay up to $1,000 for your lawn or any one tree. We will not pay for a loss to anything you grow for sale or that is located more than 65 metres (200 feet) from your premises. Property Protection Coverage We will pay for property that is damaged or used trying to protect your premises or belongings from a loss. For example, we will pay to recharge a neighbor s fire extinguisher if it was used to fight your fire. We will not pay for property owned by a fire department. The amount we pay adds to your total amount of protection. 8

12 Temperature Change If there is a failure of any system in your premises that maintains an artificial temperature, such as your furnace or freezer, we will pay for the loss or damage to your belongings that is caused by the resulting change in temperature. The belongings must be in a building. Under a Pak A or a Pak I, this failure must be due to a peril for which your belongings are insured by this policy. Theft Damage to Premises You may apply $1,000 of your belongings protection to pay for damage to your premises caused by theft or attempted theft. Your policy must cover theft for this coverage to apply. Additional Coverage for Condominium Unit Owners Your Condominium Unit Owner s Pak includes the additional coverages shown below. Automatic Residence Coverage When you purchase a new condominium unit in Saskatchewan to replace your condominium unit shown on the Cover Page and notify us within 30 days of the title registration to you, we will cover both units for a period of 30 days before or after the registration. This coverage no longer applies after the policy expiry date. The amount we pay adds to your total amount of protection. We will not pay more than the amount shown on the Cover Page for each unit. Contingent Coverage We will pay up to the amount of protection shown on your Cover Page to cover your interest in your unit, excluding any improvements or betterments to it, if the condominium corporation has no insurance, its insurance is inadequate, or it is not effective. The loss must be caused by a peril insured by this policy. We do not cover improvements or betterments whether made by you or purchased by you under any sale agreement. We will pay as follows: the replacement cost if the property is repaired or replaced within a reasonable length of time using similar materials; or the actual cash value if repair or replacement is not made within a reasonable length of time. Estate Coverage Coverage restrictions due to vacancy will not apply within the first 90 days (or expiry date of the policy, whichever comes first) from the date your premises becomes vacant or unoccupied due to the death of an Insured. Upon expiration of this coverage, Part 1 General Conditions for vacancy will apply. Improvements and Betterments We will pay up to the amount of protection shown on your Cover Page to cover unit improvements and betterments. We cover direct physical loss or damage to the following: improvements and betterments of your premises made by you or acquired under any sales agreement. your materials intended to be used in alteration, renovation, or repair to your condominium unit located at your premises or which you acquire and transport to your premises. permanently installed flooring in your unit that is part of the building but not insured by the condominium corporation. We will pay as follows: the replacement cost if the property is repaired or replaced within a reasonable length of time using similar materials; or 9

13 the actual cash value if repair or replacement is not made within a reasonable length of time. The loss or damage must be caused by a peril for which you are insured. Lock Replacement Coverage We will pay up to $1,000 for the cost of changing the key combination in your lock set or, if necessary, replacing the lock set(s) on your unit or outbuildings if their keys are stolen. The policy deductible does not apply to this coverage. Your policy must cover theft for this coverage to apply. Loss Assessment for Loss to Condominium Property We will only pay for your share of any special assessment made against you by the condominium corporation up to the amount of protection shown on your Cover Page. We will pay your share provided that: the assessment is valid under the condominium corporation s governing rules and bylaws; and the assessment is made necessary by a direct loss to the collectively owned condominium property caused by a peril insured by this policy. We will only pay in excess of any other insurance covering the collective interest of the condominium unit owners. We will also include assessments made against you for damage to your unit where the damage does not exceed the condominium corporation s deductible. We will pay up to $25,000 for that part of an assessment made against you for the deductible of the condominium corporation s insurance policy. The policy deductible will apply. Single Amount of Protection a) We will cover the following items for the single amount of protection indicated: Contingent Coverage Unit Improvements and Betterments Loss Assessment Property You decide what portion of the single amount of protection will apply to each item. This feature is subject to all terms of this policy. b) Should the amount of protection be inadequate to pay for your loss, you may use the unused portion of the remaining amounts of protection for these condominium coverages. The most we will pay under this feature is the total amount of protection shown on the Cover Page. This coverage does not apply on family occupied, rented or vacant condominiums. Tear Out We will pay to remove and replace or repair parts of your unit if that is necessary to repair rupture damage to plumbing, heating, fire sprinkler, or air conditioning systems. We will not pay the cost of tearing out and replacing or repairing property for damage related to swimming pools, hot tubs, or similar installations, public watermains, or sewers. The amount we pay is part of the amount of protection shown on your Cover Page. There is no deductible for this added feature. Unit Owner s Glass Coverage Condominiums We will pay for accidental breakage of glass or safety glazing material which is part of your condominium unit including storm windows or doors. But we only cover if you are held responsible for the damage by the 10

14 condominium corporation s bylaws or it is part of your improvements and betterments. This coverage is not applicable to Pak A. You must pay the deductible shown on the Cover Page. Additional Coverage for Tenants Your Tenant Pak includes additional coverages shown below. Improvements and Betterments (This does not apply to outbuildings located at an insured farm premises with the exception of garden sheds and gazebos.) We will pay up to the amount of protection shown on your Cover Page for direct physical loss or damage to improvements and betterments of your premises made by you or acquired by you. We will also cover your materials intended to be used in alteration, renovation, or repair to your premises, located at your premises or which you acquire and transport to your premises. We will pay as follows: the replacement cost if the property is repaired or replaced within a reasonable length of time using similar materials; or the actual cash value if repair or replacement is not made within a reasonable length of time. The loss or damage must be caused by a peril for which you are insured. Renter s Glass Coverage Tenants We will pay up to $1,000 for accidental breakage of glass or safety glazing material which is part of your rented premises including storm windows or doors. But we only cover if you are held responsible by your lease or rental agreement or it is part of your improvements and betterments. This coverage is not applicable to Pak A. You must pay the deductible shown on the Cover Page. Optional Coverages Your Cover Page will show which of the following optional coverages apply to your policy. Voluntary Fire Fighting Coverage If your Cover Page shows that you have this coverage, we will pay up to the amount of protection shown to a fire department for its services. The services must deal with a fire loss for which your premises or belongings are covered or they must be needed to protect your property or property of others adjacent to your premises, from such a loss. This coverage will apply to all property and locations shown on the Cover Page. We will not pay for property owned by a fire department. There is no deductible for this coverage. Identity Theft Coverage We will pay for identity theft expenses up to the amount of protection shown on your Cover Page for each occurrence. These expenses are defined as the costs associated with the restoration of your identity. The policy deductible will apply. The identity theft occurrence must take place during the policy term. You are covered even if you do not discover the occurrence for up to a year after the policy term ends or after cancellation of the policy. Identity theft means the act of knowingly acquiring, transferring or using key pieces of a person s identity, without lawful authority, which represents a violation of any federal, provincial, territorial or local law. Identity theft occurrence means any act or series of acts of identity theft by a person or group of persons. 11

15 We will pay: a) the costs for obtaining up to two (2) credit reports or profiles notarizing affidavits and/or similar documents for law enforcement agencies, credit agencies and financial institutions or similar credit grantors; b) the cost to replace Canadian Government issued identification documentation, passports, driver s licence and birth certificates; c) the reasonable cost of certified mail, telephone expenses, and facsimile transmissions to businesses, law enforcement agencies, credit agencies and financial institutions or similar credit grantors; d) the fees associated with re-applying for loans due to the rejection of your original application as the lender(s) received incorrect information; e) up to 50% of the amount of protection shown on your Cover Page for this coverage for wages or salary lost by you. This includes time off work to complete fraud affidavits, or to meet with merchants, legal counsel, law enforcement agencies, credit agencies, and financial institutions or similar credit grantors; f) the reasonable legal fees incurred for: (i) your defence for any claim(s) or any suit(s) made against you by any business or their collection agencies; (ii) the removal of any criminal or civil judgments wrongly entered against you; (iii) any challenge to the accuracy of information in your credit report; (iv) recovering assets acquired by a third party. This coverage does not apply to losses covered under the Credit, Debit, or Electronic Funds Transfer Cards, Cheques, and Counterfeit Money Coverage. Increased Limits Coverage If your Cover Page shows that you have this coverage, we will pay the following Increased Limits under Property with Specific Amounts of Protection. Property Belongings Base Limit Increased Limit 1) For losses due to any insured peril: Books, tools and instruments $ 5,000 $ 7,500 pertaining to a business, profession, trade or occupation Computer hardware used in a $ 5,000 $ 10,000 business, profession, trade or occupation Securities $ 5,000 $ 10,000 Bullion and money. $ 300 each $ 500 each Money also includes gift cards, cash cards and gift certificates Boats, their equipment, accessories, $ 2,500 $ 5,000 outboard motors and jet propulsion personal watercraft, including unlicensed boat trailers Animals, birds or fish $ 1,500 $ 2,500 Belongings of unmarried students $ 7,500 $ 15,000 Lawnmowers, garden tractors, $ 5,000 $ 10,000 snowblowers and their accessories Belongings of any unnamed person $ 7,500 $ 15,000 as defined under you and your in an approved care home Cemetery property $ 5,000 $ 10,000 12

16 2) For losses due to Peril 11 Theft, and Comprehensive Perils (excluding the Listed Perils): Jewellery, watches and gems $ 10,000 $ 15,000 Furs, fur garments and garments $ 10,000 $ 15,000 trimmed with fur Manuscripts, stamps and $ 2,500 $ 5,000 philatelic property Coin collections, numismatic property $ 500 $ 1,000 Silverware, goldware and pewterware $ 5,000 No Limit Bicycles, tricycles, unicycles, electric $ 1,000 $ 1,500 assisted bicycles and accessories Audio cassettes, compact discs and $ 500 $ 1,000 digital video discs while in or on motor vehicles, watercraft or aircraft Added Features of Your Part 1 Coverage Arson conviction reward $ 1,000 $ 2,500 Credit, debit or electronic funds, $ 1,000/loss $ 2,000/loss transfer cards, cheques and $ 2,500/term $ 5,000/term counterfeit money Fraud conviction reward $ 1,000 $ 2,500 Lock replacement coverage $ 1,000 $ 2,000 Outdoor trees, shrubs, and plants $ 1,000 $ 1,500 a lawn or any one tree Liability $ 1,000,000 $ 3,000,000 Added Features of Your Part 2 Coverage Voluntary Medical Payments $ 5,000 $ 7,500 Voluntary Property Damage Payments $ 5,000 $ 7,500 Sewer Backup If your Cover Page shows that you have this coverage, we will pay for loss or damage caused by backup, accidental discharge or escape or overflow of water or sewage from a sewer, sump, septic tank, or eavestrough or downspout connected to your sewer. We do not cover loss or damage caused by: a) backup, discharge or escape or overflow of water or sewage from public sewers or drains outside your premises. b) seepage or continuous or repeated leakage. We do not cover sewer backup to your premises or belongings while your premises are vacant even if we have given permission for vacancy. Settling a Claim Your Cover Page will show the amounts of protection on property insured in Part 1. These amounts, along with the features we have said add to your amount of protection, are the most we will pay for your loss. We will only pay up to your financial interest in the property. Our payment will also depend on your share of the loss and other rules used to settle claims. These are explained below. Deductible A deductible is used for losses covered in Part 1. A deductible means that you will have to bear the first part of your loss yourself. We will subtract this amount from your total loss. Then we will pay for the rest of your loss. We will pay up to your total amount of protection. We will not pay if your loss is less than the deductible. The deductible is shown on your Cover Page. 13

17 You may have different deductibles, depending on the type of property and the type of loss that we cover. When two or more items are lost or damaged in one loss, or several insured perils occur at the same time contributing to the loss, we will use only one deductible. We will use the largest single deductible of all that apply. Replacement Cost and Actual Cash Value We will use one of two methods to find the amount of your loss: 1) Replacement Cost: This is the cost to replace or repair property with material of similar kind and quality at today s prices. 2) Actual Cash Value: This is the cost to replace or repair your property considering depreciation which includes such things as its age, condition, resale value, obsolescence, and normal life expectancy at the time of loss. The value of property usually falls as it ages. Thus, actual cash value is normally lower than the cost to replace your property at today s prices. Belongings We will pay the cost of repair or the cost of new belongings (whichever is less) of similar kind, quality, and usefulness up to your total amount of protection for belongings. If you replace a belonging with one of lesser quality, we will only pay the amount you paid for the replacement. You must give us written proof of replacement or repair in order to get replacement cost coverage. You may choose payment on an Actual Cash Value basis initially. You may make a subsequent claim on a Replacement Cost basis but not later than 180 days after the date of loss or damage. We will not pay for increased costs due to unnecessary delays on your part. We will keep any salvage or proceeds from salvage. We will only pay the actual cash value for loss or damage to these seven types of belongings: 1) A belonging that is not in good, useable condition at the time of loss. 2) A belonging not in current use by you at the time of loss that you had stored away and for which you had no specific future use. 3) A belonging of an age or condition that makes it out of date or no longer usable for its original purpose. 4) Art works, antiques, rare objects, and other items that cannot be replaced. 5) A belonging that has not been fixed or replaced after a loss. 6) Spare automobile parts and accessories. 7) Boats, their equipment, accessories, outboard motors, and jet propulsion personal watercraft, including unlicensed boat trailers that are more than ten years of age from the date they were originally purchased as new. Pairs and Sets (Applies to Belongings and Special Belongings) Pair: If there is a loss to half a pair, we will pay you as though the complete pair had the loss. The undamaged piece becomes our property. Set: For items that are part of a set of two or more pieces, we will only pay for those parts that had the loss. For example, if your chair is destroyed, we would pay for that damage. We would not pay for the matching sofa, unless it was damaged as well. Obsolescence We will not pay for increased costs that result when you cannot fix or replace your property because material or parts are unavailable, obsolete, or outmoded. We will only pay the cost that would have been needed if materials or parts were available. We will pay the last known cost of materials or parts. 14

18 Property with Specific Amounts of Protection For certain types of property the amount we will pay is explained below. The deductible on your Cover Page applies. (1) Unless otherwise specified, for losses due to any insured peril we will pay up to these amounts: a) $5,000 in all for books, tools, and instruments pertaining to a business, profession, trade, or occupation. We will also pay up to $5,000 in all for computer hardware used in a business, profession, trade or occupation. They are covered only at your premises. We do not cover other business or farm property, such as samples, supplies, or goods held for sale. b) $5,000 in all for securities. c) $300 for bullion and $300 for money. Money also includes gift cards, cash cards and gift certificates. We will pay for loss only while these items are at your premises, a place you are living in for short time (like a hotel room), a bank or trust company; but we will cover loss due to the peril of theft, where covered, at any location except where such property is on exhibit or display, or any time such property is being held for sale by others. d) $2,500 in all for boats, their equipment, accessories, outboard motors, and jet propulsion personal watercraft, including unlicensed boat trailers that are not required to be licensed. Coverage applies anywhere in Canada or the continental U.S.A. for fire or lightning. Other perils you are insured for apply only at your premises. We do not cover loss or damage caused by freezing. e) $5,000 in all for computer software. We will not pay the cost of gathering or assembling information or data. f) $1,500 in all for death or destruction made necessary of animals, birds or fish within 30 days of injury caused by fire, lightning or smoke. g) $7,500 in all for belongings of each unmarried student while attending school and residing away from your premises. h) $5,000 in all for any one lawnmower, garden tractor, snowblower and their attachments and accessories. i) $7,500 in all for belongings of an unnamed person as defined under you and your while residing away from your premises in an approved nursing or care home. j) $200 on any one item and a total amount of $2,500 in all for losses, in any one policy term, for trading cards and comic books. k) $1,000 in all for spare automobile parts and accessories. l) $5,000 in all for cemetery property anywhere in Canada. m) $2,500 in all for garden sheds and gazebos while located on a farm premises. (2) For losses due to Peril 11 Theft, and Comprehensive Perils (excluding the Listed Perils) we will pay up to these amounts: a) $10,000 in all for jewellery, watches and gems. b) $10,000 in all for furs, fur garments, and garments trimmed with fur. c) $2,500 in all for manuscripts, stamps, and philatelic property (such as stamp collections). d) $500 in all for numismatic property (such as coin collections). e) $5,000 in all for silverware, silver-plated ware, goldware, goldplated ware, and pewterware. f) $1,000 for each bicycle, tricycle, unicycle or electric assisted bicycle (up to 500 watts and not exceeding 32km/h) including accessories and attached equipment. g) $500 in all for audio cassettes, compact discs and digital video discs while in or on motor vehicles, watercraft or aircraft. 15

19 Property and Causes of Loss We Do Not Cover Under any Pak we do not cover the following property or causes of loss: a) buildings, outbuildings, structures, belongings and any other property when designed, used, or intended for use, in whole or in part for: (i) business or farming purposes; but we do give permission to use personal computers and related office equipment for farming purposes; or (ii) storage, housing, or upkeep of agricultural products or supplies, livestock, or animals other than household pets; except as provided under Property with Specific Amounts of Protection. Incidental office use is permitted. b) property illegally acquired, used, kept, or imported. c) books of account, evidence of debt or title, and documents or other evidence to establish ownership or the right or claim to a benefit or thing. d) property lawfully seized or confiscated. But we will cover such property if it is destroyed to prevent the spread of fire. e) motorized vehicles, trailers, and aircraft. This includes such things as cars, trucks, skid steers, motorcycles, snowmobiles, all terrain vehicles, dirt bikes, go-carts, dune buggies, hang gliders, ultralights, or other similar aircraft of any name. Nor do we cover any parts, furnishings, or equipment of those things. For example, CB s, stereo equipment, tires, or antennae. However, we will cover motorized wheel chairs, lawnmowers, snowblowers, garden equipment, golf carts, and elecrtric assisted bicycles (up to 500 watts and not exceeding 32 km/h). An unlicensed boat trailer kept at your premises and spare automobile parts and accessories are special cases. These are shown in Property with Specific Amounts of Protection. f) losses or increased costs of repair due to any bylaw, ordinance or law regulating the zoning, demolition, repair, or construction of buildings and their related services. g) the cost of making good any faulty design, material, or workmanship. h) loss or damage caused by settling, expansion, contraction, moving, shifting, bulging, buckling, or cracking unless fire or explosion follows, then we will pay for the resulting damage. i) belongings undergoing any process, including cleaning or being worked on, where the damage results from such process. Resulting damage to other property caused by an insured peril is covered. j) loss or damage caused by snowslide, earthquake, landslide, or any earth movement. If any of those results in fire or explosion, we will pay for the resulting loss or damage. k) loss or damage to property on exhibit or display, or any time your property is being held for sale by others. l) loss or damage not due to a sudden, unexpected event. m) loss or damage caused by a nuclear incident as defined in The Nuclear Liability Act. Nor do we cover nuclear explosion or contamination by radioactive material. n) loss or damage caused by war, invasion, act of a foreign enemy, declared or undeclared hostilities, civil war, rebellion, revolution, insurrection, or military power. o) loss or damage caused by criminal or wilful acts done by you or by any person whose property is insured under this policy, including acts done for you by someone else. p) loss or damage caused by acts you deliberately did or acts you failed to do. q) loss or damage resulting from a change in ownership of property that is agreed to, even if that change was brought about by trickery or fraud. 16